And the Beat Goes On … Sarasota County Home & Condo Sales Report Oct 2019

SARASOTA COUNTY: Home & Condo Sales Report for October 2019 AND THE BEAT GOES ON. As we are nearing the end of the year and contemplating the year to be, it is staggering the number of  development projects recently completed, under construction or planned in Sarasota County.  Barring disruptive Geopolitical/economic events, with interest rates and employment at historic lows, wages and the equity markets at historic highs, and the depth of our expanding infrastructure and economic development infused daily by the quality of our health and service industries and our retiring feeder markets up North, there is every reason to believe all of these factors will continue to support our home values.  Just look around.  The population of Sarasota County is growing by approximately 10,000 people per year.  In 2000 the population was approximately 326,000.  Today it is estimated at 426,000.  Cranes are everywhere, with major residential, mixed-use, hotels, commercial, parks, attractions, shopping, sports venues, medical and health facilities under construction or planned.  The City of Sarasota is booming.  And, It has to in order to support our exponential growth.  According to the latest City of Sarasota Redevelopment Report for Quarters 2 & 3, April 1 – October 1, 2019, there are 23 projects under construction, 55 in development and 15 completed in the past year, with a construction value of over $500,000, excluding single-family residential, which in and of itself is occurring virtually everywhere.  These 93 projects comprise the following:  

• Commercial Space: 608,394/sq. ft.
• Quantity of Apartments: 1,605.
• Quantity of Residential Condo Units: 2,025.
• Quantity of Hotel Rooms: 1,057

  Click the following link for the City of Sarasota Real Estate Development Report for Quarters 2 & 3, April 1 – October 1, 2019. https://www.calameo.com/read/0041025099bbc2fa25cc4.   Next door in Manatee County, Lakewood Ranch, consistently the 1^st or 2^nd fastest growing community in the United States continues to grow, including over 5,000 new homes in Sarasota County.  In South County there is the West Villages (North Port/Venice), the 5^th fastest growing community in the US, with over 15,000 acres approved for 33,000 homes/units, a town center, currently 7 major residential developers and communities, and a $100 million Atlanta Braves spring training complex, open for business. Not to mention all the retail spaces, supermarkets, boutique markets, coffee shops, restaurants, gas station complexes (WAWA has come to town!!), and so many new build communities with resort style amenities throughout the County.   So, as we reach the end of the year, and with Thanksgiving, Christmas, the “holiday season” approaching, I think we have every reason to be grateful and exude great pride in what we have, where we live, and what our community and country stands for.  May the new year continue with prosperity and the fulfillment of all good deeds and charity.   Single Family Homes For the month of October 2019 INVENTORY LOW, SALES UP, SOLD PRICES NEUTRAL Based on 6-month trend   As I reported last month, the trend for single-family home sales remains neutral with low inventory, strong sales, and modest price appreciation.  In October, the number of for sale single-family listings was down 13% from one year earlier, while the number of sold listings increased 13.3% and the number of under contract listings was up 18.4% compared to the same time last year.  The result, inventory remains low at 3.6 months, while the median sold price increased 5.6% from last year to $285,000, and the average sold price per square foot rose 7% from last year to $198/sq. ft.  Days on the market, 69 days, the lowest year to date.  Pending sales are a leading indicator of closed sales over the next 2 months.  Accordingly, with an 18.4% increase in homes placed under contract in October compared to last year, I expect the current trend of low inventory, strong sales and modest appreciation will continue as we head into our prime selling season.  

• Average for Sale List Price: $761,000.
• Average Sold Price per Square Foot: $198/sq. ft.
• Median Sold Price: $285,000.
• Average Sold Price: $$388,000.
• Average Days on Market: 697 days.
• Months of Inventory: 6 months (based on closed sales).

 

• Inventory:
• For Sale Listings @ 2,434 units: Up 6.3% compared to prior month (September 2019); Down 13% compared to last year (October 2018).
• New Listings @ 910 units: Up 17.3% compared to last month; Down 11.8% compared to last year.
• Sold Listings @ 680 units: Up 1.8% compared to last month; Up 13.3% compared last year.
• Pending Listings @ 694 units: Up 11.4% compared to last month; Up 18.4% compared to last year.
• Months of Inventory Based on Closed Sales @ 3.6 months - NEUTRAL (based on to 3-6 months of inventory). Up 5.8% compared to last month; Down 23.6% compared to last year.

 

• Prices:
• Average For Sale List Price @ $761,000 – NEUTRAL (based on 6 mo. Trend from $733,000 to $770,000, averaging $755,000). Up 3.8% compared to last month; Up 4% compared to last year.
• Average Sold Price per Square Foot @ $198/sq. ft. – NEUTRAL (based on 6 mo. Trend from $189/sq. ft. to $209/sq. ft., averaging $198/sq. ft.). Up 2.1% compared to last month; Up 7% compared to last year
• Median Sold Price @ $285,000 – NEUTRAL (based on 6 mo. Trend from $285,000 to $305,000, averaging $292/sq. ft). Down 4.7% compared to last month; Up 5.6% compared to last year.
• Average Sold Price is @ $388,000 – NEUTRAL (based on 6 mo. Trend $367,000 from $412,000, averaging $389,500). Up 1% compared to last month; Up 12.8% compared to last year.

 

• Days on the Market:
• Average Days on Market @69 – FALLING (based on 6 mo. Trend from 69 to 89 days, averaging 79 days). Down 2.5% compared to last month; Up 10% compared to last year.

  Condominiums For the month of October 2019 INVENTORY LEVELS NEUTRAL,  SOLD PRICES FALLING Based on 6-month trend   Last month I warned that Buyers were resisting increasing sold prices for condos.  In October that pattern continued.  The good news is that sold prices came marginally, and with it the number of closed sales increased, lowering the supply of condos for sale.  In October 2019 the median sold price depreciated to $215,000, down 2.3% from last month and down 4% from last year.  The average sold price depreciated to $315,000, down 6% compared to last month and down 7.6% compared to last year.  Similarly, the average sold price per square foot depreciated to $243/sq. ft., down 2.8% from last month and down 3.2% from last year.  There were 206 closed condos in September, up 37.3% compared to last year, and 227 went under contract, up 26.1% compared to last year, shifting from a Buyer’s Bias Market to a Neutral Market with a 5.5- month supply of condos based on closed sales, and days on the market reduced 11.9% from last month to 96 days.  

• Average for Sale List Price: $653,000.
• Average Sold Price per Square Foot: $243/sq. ft.
• Median Sold Price: $215,000.
• Average Sold Price: $315,000.
• Average Days on Market:
• Months of Inventory: 5 months.

 

• Inventory:
• For Sale Listings @ 1,137 units: Up 4.6% compared to last month (September 2019); Up 3.6% compared to last year (September 2018).
• New Listings @ 334 units: Up 29% compared to last month; Up 0.3% compared to last year.
• Sold Listings @ 206 units: Up 25.6% compared to last month; Up 37.3% compared to last year.
• Pending Listings @ 227 units: Up 27.5% compared to last month; Up 26.1% compared to last year.
• Months of Inventory Base on Closed Sales @ 5.5 months – NEUTRAL – (based on more than 6 months inventory). Down 16.6% compared to last month; Down 30.5% compared to last year.

 

• Prices:
• Average For Sale List Price @ $653,000 – RISING – (based on 6 mo. Trend from $607,000 to $653,000, averaging $624,000). Down 4.5% compared to last month; Up 9.4% compared to last year.
• Average Sold Price per Square Foot @ $243/sq. ft. – FALLING – (based on 6 mo. Trend from $250/sq. ft. to $305/sq. ft., averaging $270/sq. ft.). Down 2.8% compared to last month; Down 3.2% compared to last year.
• Median Sold Price @ $215,000 – FALLING – (based on 6 mo. Trend from $214,000 to $245,000, averaging $226,000). Down2.3% compared to last month; Down 4% compared to last year.
• Average Sold Price @ $315,000 – FALLING – (based on 6 mo. Trend from $315,000 to $428,000, averaging $363,000). Down 21.7%% compared to last month; Down 6.2% compared to last year.

 

• Days on the Market:
• Average Days on Market @ 96 days – STEADY -  (based on 6 mo. Trend from 92 to 111 days, averaging 100 days). Down 11.9% compared to last month; Up 24.7% compared to last year.